Return to question Required information [The following information applies to the questions displayed below.] Emily Company uses a periodic inventory system. At the end of the annual accounting period, December 31 of the current year, the accounting records provided the following information for product 2: Inventory, December 31, prior year Unit Units Cost 2,860 $11 For the current year: Purchase, April 11 8,890 12 Purchase, June 1 7,970 17 Sales ($53 each) 10,850 Operating expenses (excluding income tax expense) $185,000 Required: 1. Prepare a separate income statement through pretax income that details cost of goods sold for (a) Case A: FIFO and (b) Case B: LIFO. Answer is not complete. EMILY COMPANY Income Statement For the Year Ended December 31, current year Case A Case B LIFO $ 575,050 Sales revenue Cost of goods sold: Beginning inventory Purchases $ 31,460 242,170 FIFO $ 575,050 $ 31,460 ( 242,170 Goods available for sale 273,630 Ending inventory Cost of goods sold Gross profit Operating expenses. Pretax income 146,530X 273,630 146,530 127,340 170,050